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World

US President Donald Trump says he may cut China tariffs to finalise TikTok deal

Ankita Das
Last updated: March 27, 2025 1:12 pm
Ankita Das
Trump May Cut China Tariffs to Finalize TikTok Deal

US President Donald Trump said on Wednesday (March 26) that he might reduce tariffs on China to help complete a deal for TikTok’s Chinese parent company, ByteDance, to sell the app. TikTok, which has 170 million users in the US, faces an April 5 deadline to be sold or face a possible ban.

Speaking to reporters, Trump acknowledged that China’s approval is needed for any deal to go through. He suggested that lowering tariffs could be a way to encourage the sale. “Maybe I will give them a reduction in tariffs or something to get it done,” he said.

According to Reuters, Trump also said he might extend the April 5 deadline if a deal is not finalized in time. He emphasized that resolving TikTok’s ownership is a priority for his administration.

Read More: U.S. Slaps 25% Auto Tariffs—Japan, South Korea Markets Plunge in Global Trade Shock

Trump has used tariffs in the past to pressure China in trade and technology disputes. When he took office, he warned that new tariffs could be imposed if China did not approve a US deal for TikTok. Since then, his administration has added a 20% tariff on all Chinese imports.

Background on the TikTok Issue

The US government has long been concerned about TikTok’s Chinese ownership. Lawmakers fear the app could be used by the Chinese government to collect data or spread influence. In 2024, Congress passed a law requiring ByteDance to sell TikTok’s US operations by January 19, citing national security risks. The app was briefly banned after the US Supreme Court upheld the law, but Trump later delayed enforcement until April 5 through an executive order.

Also See: NBCC Stock Jumps 2.85% After Rs 25,000 Crore Maharashtra Mega-Deal

The White House has been actively involved in negotiations, discussing the possibility of non-Chinese investors increasing their stakes in ByteDance to take control of TikTok’s US operations. Vice President JD Vance has said he expects a deal to be finalized by April 5.

TAGGED:ByteDanceChinaTariffsSocialMediaTechNewsTikTokBanTrump
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